Legislatures seek to protect Whirlpool from unfair trade

WASHINGTON D.C. - Ohio legislatures continue fighting against companies they believe are hurting American jobs in manufacturing plants like Whirlpool Corp. in Clyde.

Senator Rob Portman, R-Ohio, testified before the United States International Trade Commission asking for the ITC to implement safe-guard preventing companies from producing mass volumes of residential washing machines in foreign countries.

Portman and Senator Sherrod Brown, D-Ohio, have both spoken out against Samsung and LG's practice of producing clothes washing machines overseas and importing them to America at a fraction of the cost because of lower labor costs called dumping.

Rob Portman

Product dumping though, Portman said, threatens jobs and manufacturers like Whirlpool because of lower market prices threatening companies like Whirlpool to adjust production and possibly cut jobs to remain competitive.

Portman said on two occasions, Samsung and LG washing machine production overseas have been halted.

In recent years, the USITC has sided in favor of Whirlpool in anti-dumping cases where Samsung and LG were producing machines in Mexico, South Korea and China.

"But the problem persists," Portman said during his testimony.

"You would think that the decisions from those prior investigations would have resulted in fair trade and a level playing field for American businesses. But unfortunately, I am back here today because two foreign producers –– Samsung and LG –– have found a way to continue this trade malpractice by simply moving their production facilities," Portman said.

Portman said the two companies continue moving production facilities to continue flooding the market with a mass volume of inexpensive washing machines.

"There is no economic justification for their moves other than to evade U.S. trade laws," Portman said.

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Sen. Sherrod Brown, right, speaks with two master trainers at Whirlpool, Laura Bannister and Lacy Newsom, during his tour of the company's plant in Clyde on Tuesday.(Photo: Jon Stinchcomb/News Herald)

Senator Sherrod Brown, D-Ohio, also testified during the hearing after visiting Whirlpool in Clyde.

“Last week, I toured Whirlpool’s washing machine factory in Clyde. I saw how the company has invested in their washing machine line to try to keep up with the surging volume of cheap Samsung and LG imports,” Brown said. “I talked to workers who know their good-paying jobs hang in the balance with this trade case. And I saw the American flags stamped on Whirlpool’s machines rolling off the production line. That’s what this case is about. It’s about the Ohioans whose hard work means that you and I can buy a washing machine with that American flag on it.”

Portman called LG and Samsung production a "country-hopping" strategy to continue exposing loopholes in fair trade.

"Whirlpool in Clyde is quite literally a part of the local DNA," Portman testified. "The factory has produced marriages, families and friendships, and the tax contributions have helped pay for schools, bridges and roads. We are not talking about one factory, we are talking about the backbone of the community."

Scott Black, the mayor of Clyde, provided a statement to Portman, saying "without Whirlpool being here, Clyde would still be a village and not a city."

Sen. Sherrod Brown talks about the importance of enforcing U.S. trade laws with Whirlpool employees during his tour of the company's plant in Clyde in August.(Photo: File)

Whirlpool employs more than 3,000 workers at their Clyde location. The company, with in the state employs 10,000 Ohioans with plants in Marion, Greenville, Findlay and Ottawa.

Congressional 12 District Representative Pat Tiberi also testified in front of the USITC in defense of jobs in the Marion Whirlpool plant which produces dryers for the Whirlpool brand.

"Samsung and LG’s “country hopping” behavior is extremely frustrating," Tiberi said during testimony. "But with an effective safeguard remedy in place, if Samsung and LG want to relocate their manufacturing again to avoid trade measures, the only place they can go is here, to America. "